Restoring Rights of Physicians to Own Hospitals Act

12/20/2024, 9:05 AM

Restoring Rights of Physicians to Own Hospitals Act

This bill repeals provisions under the Stark law (i.e., the Physician Self-Referral Law) that require rural providers and physician-owned hospitals to meet certain additional criteria in order to be excepted under the Stark law.

Specifically, the bill repeals provisions that require hospitals to meet the following criteria:

  • the hospital had physician ownership or investment and a Medicare provider agreement as of December 31, 2010;
  • the hospital does not expand the number of operating rooms, procedure rooms, or beds beyond the number in existence as of March 23, 2010, with limited exceptions;
  • the hospital discloses certain information regarding physician ownership and investments to patients, the public, and the Centers for Medicare & Medicaid Services;
  • the hospital does not offer certain financial opportunities, and the percentage of ownership or investments does not exceed that in effect as of March 23, 2010;
  • the hospital discloses certain information to patients relating to the availability of physicians and makes alternative arrangements when necessary; and
  • the hospital was not converted from an ambulatory surgical center on or after March 23, 2010.
Bill 118 hr 2860, also known as the Restoring Rights of Physicians to Own Hospitals Act, is a piece of legislation currently being considered by the US Congress. The bill aims to repeal certain provisions of the Affordable Care Act that restrict physicians from owning hospitals.

Under the Affordable Care Act, physicians are prohibited from referring patients to hospitals in which they have an ownership interest. This restriction was put in place to prevent conflicts of interest and ensure that patients receive unbiased medical care. However, proponents of Bill 118 hr 2860 argue that these restrictions limit physicians' ability to provide high-quality care and hinder their ability to innovate in the healthcare industry.

If passed, the Restoring Rights of Physicians to Own Hospitals Act would repeal these restrictions and allow physicians to own hospitals once again. Supporters of the bill believe that this change would encourage physician entrepreneurship, increase competition in the healthcare industry, and ultimately lead to better outcomes for patients. Opponents of the bill, on the other hand, argue that allowing physicians to own hospitals could lead to conflicts of interest, overutilization of services, and decreased quality of care. They believe that the current restrictions are necessary to protect patients and ensure that healthcare decisions are made in the best interest of the patient, rather than financial gain. Overall, Bill 118 hr 2860 is a controversial piece of legislation that raises important questions about the role of physicians in the healthcare industry and the balance between competition and patient care. It is currently being debated in Congress, and its outcome remains uncertain.
Congress
118

Number
HR - 2860

Introduced on
2023-04-25

# Amendments
0

Sponsors
+5

Cosponsors
+5

Variations and Revisions

4/25/2023

Status of Legislation

Bill Introduced
Introduced to House
House to Vote
Introduced to Senate
Senate to Vote

Purpose and Summary

Restoring Rights of Physicians to Own Hospitals Act

This bill repeals provisions under the Stark law (i.e., the Physician Self-Referral Law) that require rural providers and physician-owned hospitals to meet certain additional criteria in order to be excepted under the Stark law.

Specifically, the bill repeals provisions that require hospitals to meet the following criteria:

  • the hospital had physician ownership or investment and a Medicare provider agreement as of December 31, 2010;
  • the hospital does not expand the number of operating rooms, procedure rooms, or beds beyond the number in existence as of March 23, 2010, with limited exceptions;
  • the hospital discloses certain information regarding physician ownership and investments to patients, the public, and the Centers for Medicare & Medicaid Services;
  • the hospital does not offer certain financial opportunities, and the percentage of ownership or investments does not exceed that in effect as of March 23, 2010;
  • the hospital discloses certain information to patients relating to the availability of physicians and makes alternative arrangements when necessary; and
  • the hospital was not converted from an ambulatory surgical center on or after March 23, 2010.
Bill 118 hr 2860, also known as the Restoring Rights of Physicians to Own Hospitals Act, is a piece of legislation currently being considered by the US Congress. The bill aims to repeal certain provisions of the Affordable Care Act that restrict physicians from owning hospitals.

Under the Affordable Care Act, physicians are prohibited from referring patients to hospitals in which they have an ownership interest. This restriction was put in place to prevent conflicts of interest and ensure that patients receive unbiased medical care. However, proponents of Bill 118 hr 2860 argue that these restrictions limit physicians' ability to provide high-quality care and hinder their ability to innovate in the healthcare industry.

If passed, the Restoring Rights of Physicians to Own Hospitals Act would repeal these restrictions and allow physicians to own hospitals once again. Supporters of the bill believe that this change would encourage physician entrepreneurship, increase competition in the healthcare industry, and ultimately lead to better outcomes for patients. Opponents of the bill, on the other hand, argue that allowing physicians to own hospitals could lead to conflicts of interest, overutilization of services, and decreased quality of care. They believe that the current restrictions are necessary to protect patients and ensure that healthcare decisions are made in the best interest of the patient, rather than financial gain. Overall, Bill 118 hr 2860 is a controversial piece of legislation that raises important questions about the role of physicians in the healthcare industry and the balance between competition and patient care. It is currently being debated in Congress, and its outcome remains uncertain.
Alternative Names
Official Title as IntroducedTo amend title XVIII of the Social Security Act to repeal the Obamacare ban on provider-owned hospitals, and for other purposes.

Policy Areas
Health

Potential Impact
Financial services and investments
Government information and archives
Health facilities and institutions
Health personnel
Home and outpatient care
Rural conditions and development

Comments

Recent Activity

Latest Summary10/13/2023

Restoring Rights of Physicians to Own Hospitals Act

This bill repeals provisions under the Stark law (i.e., the Physician Self-Referral Law) that require rural providers and physician-owned hospitals to meet certain additional crite...


Latest Action12/17/2024
Referred to the Subcommittee on Health.